Dell Misses on Revenue, Delivers Disappointing Outlook
Delldelivered a mixed quarterly report — beating on earnings but missing on revenue — and offered a disappointing outlook.
Shares of the computer maker finished up 2 percent in regular trading but fell more than 6 percent after the closing bell. Click here for the latest after-hour quote.
Earnings excluding items rose to 54 cents a share in the second quarter from 32 cents a share in the year-earlier period.
Revenue rose to $15.66 billion from $15.53 billion a year ago.
Analysts had expected earnings of 49 cents a share on revenue of $15.76 billion, according to analysts surveyed by Thomson Reuters.
Dell said it expects revenue to be flat in the third quarter; analysts had expected revenue to climb above $16 billion in the quarter.
The company also lowered its forecast for full-year revenue growth to 1 percent to 5 percent from its previous range of 5 percent to 9 percent.
Dell has consistently beaten Wall Street expectations this year, a result of expanding its footprint in higher-margin businesses such as servers, storage and computer services. But industry executives warn that corporate and government spending may have begun to wane on fears of a second-half economic growth slowdown, while a high jobless rate pressures consumer income.